My Inventory: Stock Forecasting

In Linnworks, the Stock Forecasting functionality is designed to calculate how much stock will be consumed in the coming year on a per-item and per-location basis to predict when a user may need to reorder stock for that item. 

MyInventory StockForecast

Definition of the Main Parameters

There is a number of parameters that are used to tailor how Stock Forecasting is calculated. The main ones are:

  • Consumption Data
  • Seasonality
  • Demand
  • Supplier Lead Time

Consumption Data

Stock Forecasting uses consumption data as a basis for the calculation. Depending on your settings, the system can take this data from existing data in Linnworks for the selected item, a different item, or a fixed value. You can configure this in the Product Details > Stock Forecasting > Forecast Using section by selecting: 

  • This Stock Item
  • Alternative Stock Item
  • Specify Daily Average Consumption

StockForecast ConsumptionData

For full details on each setting, see the following guide.


Seasonality determines how product sales vary naturally due to the time of the year. This is only used if there is no historic data for an item. It will also be used if an item is out-of-stock for long periods.

StockForecast SalesSeasonality

Seasonality is configured per item in the Product Details screen. For more details, see this guide.


Demand regulates how business decisions will affect sales in the coming year. For example, launching marketing campaigns, selling on a new marketplace, etc.

StockForecast PredictedDemand

Same as Seasonality, Demand is configured per item on the Product Details screen. For more details, see this guide.

Supplier Lead Time

Lead Time in inventory management is the amount of time between when a purchase order is placed to replenish products and when the order is received in the warehouse.

In Linnworks, Lead Time (Supplier Lead Time) is an additional parameter that can be configured to tailor Stock Forecasts. For more details, see this guide.   

NB! Stock Forecasting is reliant on the Default Supplier setting as calculations are done for default suppliers only.

Stock Forecasting, Daily Average Consumption, and JIT

In Linnworks, there are Daily Average Consumption and Just in Time (JIT) ordering modules that also allow faster restocking of items in demand. For clarity, see below whether these two modules are or are not linked to Stock Forecasting.

Stock Forecasting and Daily Average Consumption

Daily Average Consumption calculates the consumption ratio of a stock item and visualizes its growth or decline in the past 90 days.

StockForecast DailyAverageConsumption

Daily Average Consumption is not Stock Forecasting but it is quite heavily linked to it. Every time an order gets processed, the Daily Average Consumption ratio of an item is recalculated. The system then uses this historic data to calculate the expected consumption.

Stock Forecasting and JIT

The Just in Time (JIT) ordering is the polar opposite of Stock Forecasting meaning that we do not need to hold stock or worry about stocking up. As the name suggests, the JIT ordering allows sourcing items from the supplier on demand.

NB! Marking items as JIT disables Daily Average Consumption calculation for them. It does not affect items in any other way.

For more information on the JIT ordering, see this guide.


Further Reading

See further guides to overview Stock Forecasting and learn how to configure it for your Linnworks account: